Login
Is hospitality losing its heart and its profit?AI vs. 'would you like to have a drink?'
Phillip Schaetz (CUBE)
Phillip Schaetz (CUBE)

With artificial intelligence and automation advancing rapidly in hospitality, one question lingers: As technology takes over, are we losing the personal touch that sets us apart? This isn’t just about nostalgia; it’s a commercial issue. If we focus too much on efficiency, we might miss out on something that directly affects guest satisfaction, loyalty and ultimately revenue.

This thought has stayed with me since a dinner with my friend and mentor, Lynn Grebstad. She is a former flight attendant, ran PR for top hotel brands like The Peninsula and went on to found one of Hong Kong’s most successful hospitality PR agencies, GHC.

At this dinner, she shared a simple story that encapsulated true hospitality: In her early days at British Airways, she would always start by asking guests, “Would you like to have a drink?” It was a small gesture, but it set people at ease, making them feel genuinely cared for. It was about connection, not transaction. As she told me this, I couldn’t help but wonder whether we still carry that spirit in hospitality today.

The end-to-end guest journey

In today’s digital world, hospitality begins long before a guest sets foot on the property. From the first moment they discover a brand to the follow-up after they leave, every stage of the guest journey offers an opportunity to create an impression. This is where the “Would you like to have a drink?” mindset matters: it’s not just a phrase, but a philosophy that can influence every touchpoint in a guest’s journey. And when done well, it doesn’t just create loyal guests; it drives bottom-line results, benefiting owners, operators and associates.

Here’s how we can apply this approach across the guest journey and why it’s commercially smart to do so.

1. Discovery and research
When prospective guests first encounter a brand, personalized engagement can make a lasting impression. Offering a sense of genuine hospitality from the start — through tailored marketing messages, meaningful content and subtle personal touches — sets the tone for an experience that feels relevant and special. According to a McKinsey study, companies that lead in personalization generate 5-15% higher revenue and up to 30% more efficient marketing spend.

2. Booking experience
The booking process should feel like a warm welcome, not a robotic transaction. Making guests feel recognized and valued here builds trust and loyalty from the outset. A personalized booking process, backed by data insights, allows operators to engage guests with offers that are both thoughtful and commercially effective. This isn’t just good hospitality; it’s good business. Satisfied guests are not only more likely to return but tend to spend more during their stay.

3. In-stay touchpoints
Personalized service shines brightest during the guest’s stay, with every small interaction reinforcing their connection to the brand. Whether it’s a personalized greeting, thoughtful amenities or proactive service, these gestures turn an ordinary stay into a memorable one. Emotionally connected guests spend up to 46% more on hotel services, according to Gallup, underscoring that genuine engagement drives satisfaction and revenue alike.

4. Post-stay engagement
Following up with guests after their stay is often an overlooked area. This stage, when managed with care, strengthens relationships and fosters loyalty. A Bain & Company report found that a 5% increase in customer retention can boost profits by 25-95%. Engaging guests post-stay not only encourages return visits but also promotes valuable word-of-mouth marketing.

How to deliver meaningful service across all touchpoints

The heart of hospitality — captured by the simple question, “Would you like to have a drink?” — should be a guiding philosophy across the brand, from associates to guest interactions. Here’s how to make this attitude work for guests, operators and asset owners, driving both satisfaction and commercial success:

1. Embed a guest-first attitude across the brand
This mindset must go beyond isolated gestures; it should be embedded in the company’s DNA. Operators need to empower associates to prioritize the guest experience, building a culture of care that guests will feel and remember. This leads to higher guest satisfaction, loyalty and direct revenue growth.

2. Use data to enhance the human touch
Data shouldn’t replace personalized service, it should elevate it. Business intelligence tools allow teams to anticipate guest needs, enabling every interaction to feel genuine and thoughtful. For asset owners, this data-driven approach boosts guest loyalty and long-term property value, as satisfied guests are more likely to return and spend.

3. Extend this philosophy to all stakeholders
A spirit of genuine hospitality should also embrace associates and asset owners. Appreciated associates are more likely to go the extra mile, enhancing guest experiences and fostering a positive workplace culture. Asset owners see returns not just in guest satisfaction but in consistent, positive financial performance, reinforcing their trust in the brand’s long-term potential.

4. Thoughtfully integrate technology for seamless service
Technology should support rather than overshadow the guest experience. Seamlessly integrated systems, from booking platforms to mobile check-ins, reduce guest friction and strengthen the feeling of care. This thoughtful integration benefits all: Guests appreciate the convenience, associates can focus on high-value tasks, operators see stronger satisfaction scores, and owners enjoy repeat business and positive reviews.

Incorporating this guest-first attitude across all interactions ensures that each touchpoint resonates with genuine care.

Does AI risk replacing genuine hospitality?

In the drive to automate, hospitality risks losing its personal touch. Artificial intelligence is an essential tool for efficiency, but it’s just a tool. It should enhance, not replace, the guest-first attitude that truly builds loyalty and drives revenue. When guests feel valued, they become loyal, engaged and high-spending patrons, benefiting everyone. Operators gain higher spends, asset owners enjoy increased property value and associates experience greater job satisfaction in a caring culture.

The key lies in balancing AI with genuine human connection. Used thoughtfully, AI can support seamless service while keeping hospitality personal. This approach doesn’t just serve guests, it creates lasting value for all stakeholders.

So, let’s keep asking, “Would you like to have a drink?” It’s not only about preserving the heart of hospitality; it’s about making it more sustainable and profitable for everyone.

Philip Schaetz is founder and managing director of CUBE. Prior to establishing CUBE in 2018, Philip enjoyed a long career in revenue management, distribution expertise and sales and marketing strategy in senior global positions for some of the world’s largest hotel & resort brands.

The opinions expressed in this column do not necessarily reflect the opinions of Hotel News Now or CoStar Group and its affiliated companies. Bloggers published on this site are given the freedom to express views that may be controversial, but our goal is to provoke thought and constructive discussion within our reader community. Please feel free to contact an editor with any questions or concern.

Read more news on Hotel News Now.